John Cridland, director-general of the CBI, Britain's
biggest business lobby group, criticised many of the 240,000 companies he is
paid to represent for failing to pass on their new-found prosperity to
employees. He told employers – whose FTSE 100 bosses are paid 136 times the
national average – that they must ensure that all citizens benefit from the
recovery. The GMB union warns that the real value of national average earnings
has fallen by 14% since the start of the recession in 2008. Real earnings have
dropped by more than 20% in London, with workers in Hammersmith and Fulham
experiencing a 49% decline. By contrast, the average FTSE 100 boss collected
£3.7m last year. Just three months ago Cridland attacked the Labour leader Ed
Miliband’s plans for an increase in the minimum wage as a "real setback
for Labour's pro-enterprise credentials". He said many companies could not
afford to pay employees more than the £6.31 minimum wage for adults, and £5.03
for those aged 18 to 21. Miliband has said he will offer companies tax breaks
if they commit to paying workers the living wage, which is set at £7.65 an
hour. GUARDIAN

Energy costs 'deliberately
inflated' by £150 per household

The so-called Big Six, British Gas, SSE, E.ON, EDF, npower,
and Scottish Power, paid £4bn more for power than market rate, according to
shadow energy secretary Caroline Flint. She accused the companies of paying over
the odds to increase profits in other divisions of their companies or doing
deals that were bad for customers. She added: "The time has come for a
complete overhaul of our energy market. Labour will break up the big energy
companies, put an end to the secret deals and force them to do all of their
trading on the open market." Energy UK, which represents the big six
suppliers, disputed the figures. TELEGRAPH

What economic
recovery? Only one in 50 people believe things are better for them

The TUC survey looked at how people felt about the recent
claims by Chancellor George Osbourne that ‘Britain’s economic plan was
working.’ Out of 1,600 people polled
many saw recent austerity measures as necessary but more than half wanted
services that had been cut to be restored. The news will come as a blow to the
Government which has been busy assuring voters that as the economy improves in
2013 and 2014 it will slowly be felt by everyone. TUC general secretary,
Frances O'Grady said: ‘Voters accepted austerity as unpleasant medicine. But
now they are realising that what they thought were the unpleasant side effects
are what the Chancellor sees as a cure. Recovery seems to mean food banks, zero
hours and pay cuts for the many, tax cuts and pay growth for the few at the
top.’ DAILY MAIL

'It's a rip-off that
makes Wonga look like Santa Claus': 300,000 of Britain's poorest people live at
least 1km from a free ATM

There are 269 low-income areas with no free ATMs inside a
1km (0.6-mile) radius – with half of the most excluded people living in South
Wales and the North. The people who relied on cash machines charging a flat fee
were often poor - meaning they were disproportionately affected for taking out
small amounts of cash. Labour MP Frank Field, who advises the Government on
combating poverty, condemned the charges which range from 75p to £10. DAILY MAIL

Isas were launched 15
years ago to encourage saving. Today the worst cash Isas pay out £1 on £1,000
invested

Britain's biggest banks have paid as little as £1 interest
on every £1,000 saved in the worst cash Isas of last year. Barclays, Halifax
and Santander had the three worst-paying accounts over the past 12 months. Each
gave just 0.1per cent to loyal customers. Incredibly, state-backed Halifax and
Lloyds have eight rotten Isas in our list of the ‘dog’ accounts which you
should ditch today. Our analysis of almost 100 accounts showed that 15 Isas
from large banks and building societies (ranked on rates for £1,000) paid
between just 0.1per cent and 0.5per cent. Isas were launched nearly 15 years ago to develop and
encourage the savings habit through tax breaks. Savers have piled a huge
£225billion into these accounts, with £15billion going in during the past 12
months. DAILY MAIL

Barclays boss admits
it could take 10 years to rebuild public trust

Barclays CEO Antony Jenkins said the series of scandals that
have rocked the banking system, including the mis-selling of payment protection
insurance and Libor fixing, had damaged the bank's reputation over the long
term. "Trust is a very easy thing to lose, and a very hard thing to win
back. In my view it will takes several years – probably five to 10 – to rebuild
trust in Barclays," he said. GUARDIAN

Quarter of Help to
Buy deals are struck in London and South-East

Business Secretary Vince Cable today warned against “a
recovery based on property inflation” as it emerged that a quarter of Help to
Buy deals are being struck in the property hotspots of London and the
South-East. His warning came as David Cameron trumpeted a huge rise in the
number of housebuyers getting help with deposits through the flagship scheme
launched in October. Mr Cable added: “What I want to see in the New Year is a
real economic recovery based on British industry and exports of goods and
services, not an artificial and temporary recovery based on property
inflation.” EVENING STANDARD

Rail fare rise of
2.8% comes into effect while wages continue to stagnate

The chancellor announced in his Autumn Statement in early
December that the regulated fare price cap of RPI inflation plus 1% was being
changed to RPI plus 0%. The increase is the smallest rise in four years,
according to the pan-industry Rail Delivery Group. But campaigners say that
fares are rising three times faster than incomes. Jason Torrance, policy director
of sustainable transport organisation Sustrans, said "The chancellor's
move to bring an end to the inflation-busting fare rises we've seen over the
last decade shows a recognition that rising transport costs are a barrier to
economic recovery... but salaries aren't increasing by anywhere near the level
of inflation. If transport remains so prohibitively expensive, we will continue
to restrict travel choices and opportunities to access essential services and
employment." BBC NEWS